USE appoints six banks for clearing and settlement

United Stock Exchange (USE) today said that it has appointed six lenders as its clearing and settlement banks.

The names include Allahabad Bank, Andhra Bank, Bank of India, Federal Bank, HDFC Bank and YES Bank, it said in a press release issued here.

USE is India's latest stock exchange for currency derivatives.

In addition to these, five more banks are expected to come on board as clearing and settlement banks, the release said.

USE's Managing Director and CEO T S Narayanasami said clearing banks perform an extremely important function in the operation of exchanges.

"We are extremely pleased to have these reputed banks on board. They already have a very active and large base for their clearing services. Their nation-wide infrastructure and proficient operations will provide seamless electronic fund transfer and settlement processing services to the USE members," he said.

"We are in touch with more banks to make them our clearing banks to ensure easy operations to our members when we launch," he added.

USE has already received RBI authorisation to launch operations and recently commenced mock trading.